Argentine exporters are again facing the same problems they encountered during the past two seasons that resulted from selling large volumes of feed barley in the FOB market without covering their obligations in the local market. Soybeans South American soybean exports are feeling pressure from aggressive pricing of soybeans at North American ports. About six cargoes were recently shipped out of North America for China. Trades from the Pacific Northwest (PNW) were at 135 SH and later at 138 SH, while U.S. Gulf (USG) traded at 166 SH for January and later at 154 SH for February. These price levels are extremely aggressive, and margins are assumed to be thin to negative at U.S. ports. Such price action is normally more common in Brazil and...
What You Need to Know Today: Russia rejected calls for a ceasefire in the Black Sea, including a proposal to halt attacks on civilian shipping that could help restore grain flows from Ukrainian ports. Tyson Foods announced plans to permanently close its Joslin, Illinois, beef processing facili...
The big news in the cattle markets yesterday was Tyson Foods’ move to close two more beef plants. One of them, the Joslin, Illinois, plant was shuttered immediately after the announcement. The other, in Eagle Mountain, Utah, is a case-ready plant that does not slaughter cattle. Tyson also...
The Bureau of Labor Statistics (BLS) released the Consumer Price Index (CPI) on Wednesday. In July, the CPI rose 0.1 percent, seasonally adjusted, and rose 3.4 percent over the last 12 months, not seasonally adjusted. The index for all items less food and energy, or the “core” infla...
From WPI Consulting
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.